Tether has issued a strong response to allegations published by the Wall Street Journal (WSJ) that the company is under investigation by US federal authorities and could face potential sanctions from the Treasury Department. In a statement, Tether criticized the report, calling it “highly irresponsible” and based on “pure speculation.”
“It is wildly irresponsible for the WSJ to write articles containing such utterly reckless claims, when no authorities have come on record to confirm these rumors and no sources have been cited,” Tether said. The company said it had “no knowledge of such investigations” into its operations.
The company’s statement also highlighted the company’s proactive stance on working with law enforcement to combat the misuse of stablecoins and other cryptocurrencies. “The article also recklessly ignores Tether’s well-documented and extensive engagements with law enforcement to crack down on bad actors seeking to misuse Tether and other cryptocurrencies,” the company added.
The company has faced criticism and regulatory questions in the past, particularly regarding its reserve support and involvement in crypto market dynamics.
*This is not investment advice.